Milk consumers mulcted
Govt yields to KMF pressure and allows an increase of Rs 3 a litre
The Karnataka Milk Federation (KMF) has hiked the price of commonly used toned Nandini milk by Rs 3 per litre. The new price will come into effect from January 8.
The KMF had proposed to the government to effect a hike of Rs 5 per litre, owing to increase in fuel cost, fodder, transportation cost and other raw materials. The government which was in no mood to effect Rs 5 per litre hike, however, yielded to the pressure built by the federation, and agreed a hike of Rs 3.
Addressing the media in Bangalore on Friday, KMF Chairman Somashekar Reddy said milk was cheapest in Karnataka. Prices in other states ranged between Rs 26 and Rs 28 and the increase of Rs 3 a litre would bring relief to the farmers.
Reddy said the KMF was still working out the cost of milk products and the hike on those products including ghee, butter and paneer would be decided in a week’s time. He said the higher prices would affect milk and curd and requested consumers to bear with the price increase.
Federation president A S Premnath said the farmers who were getting around Rs 19 per litre would now get an additional Rs 2 to Rs 2.50 per litre.The production cost of a litre of milk was between Rs 22 and Rs 23. Karnataka procures around 45 lakh kg of milk per day, 31 lakh of it being sold by the KMF. The surplus milk is sold to Kerala, Rajasthan, Tamil Nadu and Andhra Pradesh.
Premnath said KMF had to deal with inflation even while the demand for milk was peaking. 
